Gold Confiscation, Inflation, And Suddenly Virtuous Central Bankers

testosteronepit's picture

Wolf Richter   www.testosteronepit.com

When the world's major central bankers get together, as they did at the Fed conference in Washington this weekend, ironies abound. Off to the side was Turkey’s government that had just floated a plan to get its people to turn in their physical gold in exchange for “certificates,” a first if still voluntary step in what may become a process of gold confiscation. In the background was the Fed, which in January had promised to keep interest rates at record lows through 2014, come hell or high water, after having purchased $2.3 trillion in bonds. And in the foreground were the money printers of Japan and Europe.

“If low interest rates induce investment projects that are only profitable at such interest-rate levels, this could have an adverse impact on productivity and growth...,” said Masaaki Shirakawa, Governor of the Bank of Japan, the champion of deficit monetization and ultra-low interest rates.

He was worried, he said, about “side effects” such as rising commodity prices—a non sequitur after he'd announced in in mid-February that the BOJ would plow another ¥10 trillion ($128 billion) into asset purchases, having already done three waves of asset purchases in 2011. And then we learned that board members fretted that this might be considered monetization of Japan's deficit. Um, yes.

Not to be outdone, Jean-Claude Trichet, ex-President of the ECB, did his own fretting. Under him, the ECB had purchased crappy Eurozone sovereign bonds despite a treaty that prohibits it. And now he worried that these bond purchases by central banks have become part of a new “permanent regime,” and that it could create “behavioral contagion”—something that has already happened. “I think we have to reflect on that,” he said belatedly.

Back to Turkey: it found a different solution for its own out-of-control budget deficit. Like that of Japan, the US, and other countries, Turkey’s deficit, at 10% of GDP, has become part of the “permanent regime.” But rather than deal with it the hard and honest way—cut spending and increase tax collections—Turkey is grasping for alternatives. Hence the plan to bamboozle its citizens into handing over their hidden stashes of physical gold in return for what would certainly be pretty certificates. And as an additional incentive, gold-deposit accounts would earn interest.

When I was in Turkey in 1997, pocket money was a wad of Turkish lira that included 1,000,000-lira notes. Even beggars could be millionaires. And those who spent their last million on gold (jewelry was a favorite) would never forget how smart that decision was. Not only would the price of gold, at the time around $300 per ounce, start rising again, but also the value of the lira would dissipate into hyperinflation.

On January 1, 2005, the government revalued the currency at 1,000,000 lira to 1 New Turkish lira and issued new banknotes and coins. Then, on January 1, 2009, the government again put new banknotes and coins in circulation but without New in the name. They looked different, and omitting New would certainly inspire confidence and help people forget the fiasco of the old lira.

Inflation in February was 10.4%. Yield on the two-year bond is near 10%. And last year, the lira plummeted 20% against the dollar. No wonder Turks don’t trust their paper money, regardless of how the government dresses it up. So they doubled their purchases of physical gold in 2011, according to the World Gold Council. Their savings rate is at a 30-year low. They’re borrowing and spending lira, and they’re buying gold for safekeeping in their homes. A lot of it. $150 - $300 billion, according to government estimates—savings that are not part of the "savings rate."

If the government got its hands on, say, $200 billion of its people’s gold, it could transfer it into the international market and kick the deficit can down the road. And if push came to shove, it could do with the certificates what Greece did with its bonds. Which makes people wonder who the advisor on the project was. Goldman Sachs?

But Turks saw what happened next door: “We owed it to our children and grandchildren to rid them of the burden of this debt,” said Greek Finance Minister Evangelos Venizelos after the bond swap, a default that had whacked private sector investors with a 72% loss. While everyone other than the bondholders was applauding, Greece’s economic horror show continued in its relentless manner. For that whole debacle, read..... “A harder Default To Come.”

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CheapBastard's picture

Bernanke said "gold has no meaning" so why would the Central Bankers want Goldbugs' gold?

Quinvarius's picture

Have you noticed that Central Bankers always say the exact opposite of what they are about to do?  If Bernanke is talking smack about gold, the US is either buying it or getting ready to go back to a gold standard.

The reality is, global trade does not work without a standardized, tamperproof, global currency like a gold standard.  And with all the printing, people leaving SWIFT, and people making deals not to use the Dollar in trade, the Dollar is no longer a suitable semi-replacement for gold.

goldenbuddha454's picture

Governments always sustain themselves, even if it means lyinging to their people, confiscating their people's gold or subverting their sovereignty and giving control to a larger government to which they belong ie...Greece to the EU.  The new world order is no longer a dream of the elites, it has now become a reality of our times. 

HoofHearted's picture

Virtuous central bankers...jumbo shrimp...military intelligence...you get the picture.

Mamzer Ben Zonah's picture

from New Scientist:

Metal detector knows how much cash is in your wallet

No point hiding it (Image: Carlos Juliio Martinez/AFP/Getty)

IT HAS long been an urban legend that the security strips found in US banknotes let shadowy government agencies use metal detectors to track how much cash you are carrying.

Even though the strips are made of plastic, the legend is so pervasive it once made an appearance in an episode of TV series The X-Files. Now it seems the conspiracy theory may have been half right: it is possible to both detect and count concealed banknotes printed with magnetic inks.

These inks are already used by vending machines to verify the authenticity of a single note, but physicists Christopher Fuller and Antao Chen at the University of Washington in Seattle realised that large bundles of notes would contain enough magnetic material to be detected at a distance, potentially allowing police to catch people attempting to smuggle cash over the border.

They found an ordinary handheld metal detector was able to pick up a dollar bill from 3 centimetres away, and placing the notes behind plastic, cardboard and cloth did little to block the signal. Adding further bills in $5 increments increased the strength of the signal, making it is possible to count the number of bills, though converting this into an actual dollar value would be difficult as notes of different denominations contain the same amount of magnetic ink.

Using larger metal detectors such as those found in airports should also increase the range of sensing, though detecting banknotes in such situations would be trickier as many other sources could interfere with the signal. "In a real situation the signal will be noisy and some kind of digital signal processing may be needed," says Chen. "The results published are from a feasibility study, and a lot of development work is needed to make it practical." He will present the work at the Defense, Security and Sensing conference in Baltimore, Maryland, next month.

Markus Kuhn, a computer scientist at the University of Cambridge, says this kind of detection is a "neat idea" but metal detectors may show a similar response to other magnetic items found in luggage, such as laptop power cables. He suggests that adding equipment to the detectors to pick up other aspects of the signal - such as its timing - would allow for more detailed analysis.

Marc_W's picture

The U.S. dollar may be a fiat currency but it is backed by the world's most powerful military.  11 aircraft carriers and 3 more under construction.  World wide bomber capability.  World wide ICBM capability.  A fleet of drones.  A global surveillance network of all telecommunications.  Etc.  Etc.  Etc.

 

You might say that our currency isn't backed by anything.  But I think I just proved you wrong.  And recent history shows that America is not shy about demonstrating to the world just why our currency is the world currency.

 

And before all the down votes and self righteous responses, just keep in mind that this is the truth whether you acknowledge it or not.  The U.S. is the center of a global military empire that includes all other Anglo nations.  Don't like it?  Leave the U.S., because voting is irrelevant.

 

Those of you who stay in the U.S., despite having the resources to leave, are admitting that you love your global military empire.  You love living in a fascist police state.  You love the bail outs.  You love the TSA.  And you love your nominally "elected" leaders like Obama and Bush.

TrulyStupid's picture

The most powerful military in the world is the REASON the US is going bankrupt, and the more money thrown down that pit, the more future money is required to maintain it......it is an ongoing  LIABILITY and a huge one... if it could only create something other than death and destruction and the swagger in chickenhawks' steps.

El's picture

What do you think will happen when the U.S. gov't can no longer borrow the money it needs to pay for "the world's most powerful military." Think our guys are going to keep putting their necks on the line for oil when they aren't getting paid and their families are suffering here at home? Many of them have realized that they have been sent to the Middle East to liberate assets and oil and for no other reason. Ever wonder why there is such a buildup of Blackwater in THIS country? They will do things our military guys would never do to their own people (at least I would like to believe they wouldn't).

There are a lot of theories out there. Some will be wrong and others will be right on spot. No one really knows what will ultimately happen, but as long as rabbits can be pulled out of hats and there is one more magic trick that can be performed, the show will go on.

As for leaving the country, I have considered that. My retired parents, however, will not even consider it and I would not leave them here alone to their fate. If we go down, we'll go down together as a family.

Vendetta's picture

All the military power in the world cannot force trust, it may force usage of a debauched currency until the debauched currency is unable to sustain the military ... then things change.

fonzannoon's picture

Wow Marc I hear you speak and it gives me chills. It's like you are channeling our founding fathers....

prole's picture

He is full of Shiite and maybe you are too.

Anyone who sets himself up as morally superior and tells other people what they have to do to be (...?) is some trifling Zombie having a goof.

If that jackass thinks I have to leave to be morally consistant- would he mind paying my airfare and to pay for the upkeep of what I (am emburdened by) or to say my gear inconus?

Marc_W's picture

I do not claim moral superiority.  I am merely terrified of the police state that America has erected around me these past 11 years.  Terrified enough to leave.

nick howdy's picture

Any Fiat currency is backed by a governments ability to extract taxes from it's people...Considering our National Debt level I'd say we've got a problem...

As far as our military goes, it's just more spending...We don't win wars, we just create chaos..

In the US our "leaders" don't pay for their decisions...Someone else always does...Usuallly "The Little People"

Sodom and Gomorrah will destroy itself as it always does..

 

Just a Ship of Fools

http://www.youtube.com/watch?v=ZHh0V7UjVXI

thewhitelion's picture

Dammit!  Marc says if I stay I love it all.  Honey, we've got some packing to do this morning. . .

Marc_W's picture

You contribute your tax money to the empire.  You submit to its laws.  You are counted among the census.  You have bred children to be future slaves of the fascist American police state.  If the government wants something you have they will take it.  If they want you to work for them you will do so.  If they need military man power to maintain their global empire they will draft your sons.  The U.S. is more likely to jail you and your loved ones than any other nation on Earth.  The murderous police are more likely to kill you and your loved ones than most countries on Earth.

 

If you can leave, but you choose to stay, then you are consenting to all of the above.

Vince Clortho's picture

Open your eyes.  You talk like leaving America is a simple act of throwing your clothes in a bag and travelling to some accessible desirable location.  Do a little research on what it takes to become a citizen of another country, the cost, the process, the downsides.

And the CB Cartel is running the show in whatever destination you choose to move to.  Perhaps your current location is as good as any to confront the sociopaths that have taken control.  Living in the country you were born in does not imply consenting to the immoral leadership of that state.  In 1776, a group of citizens did not consent, and decided they would rather fight than move.

Muddy1's picture

"If the government wants something you have they will take it. If they want you to work for them you will do so. "  Check out this recently signed Executive Order on the White House website:

http://www.whitehouse.gov/the-press-office/2012/03/16/executive-order-national-defense-resources-preparedness

And the speculation on what it may entail:

http://www.shtfplan.com/headline-news/executive-doomsday-order-obama-authorizes-gov-to-seize-farms-food-processing-plants-energy-resources-transportation-skilled-laborers-during-national-emergency_03182012

Accomplished without the violent revolution as happened in Russia, China, etc.

JOYFUL's picture

I admire your bluntness, and have personally followed through on the steps you say you will take, to my entire satisfaction.

But in reading what you have written, in the way you wrote it, I realized for the first time, Americans can't leave America, cause America left them... some time ago, can't say exactly when.

It's like if your house burned down, & you survived, penniless but [sort of] unscathed. Used to be, folks just rebuilt, got on with it. But that was then, and this is now, and both now and then are but posts on a highway to nowhere that is taking my former friends and neighbors to NOWHERE really fast. 

One man saw it all coming, wrote what he felt, felt it all too directly, and died while still young, of too much belief in what Americans had come to take for granted and forgot to grant their belief to;

“Accept loss forever.” \ [Saint] Jack Kerouac(Ti Jean)

&

“All our best men are laughed at in this nightmare land.”

- http://youtu.be/cTlAreGhaAk  (Pat Metheny&Michael Brecker\Everyday I Thank you)  -a soundtrack for LostMerika

Quinvarius's picture

Americans will fight for their rights and property again.  It won't be about patriotism or the Constitution.  They will be forced into it.  When it starts, it will be important to make sure the public understands that Socialism, corruption, ignoring the Constitution, and illegal acts by the government caused this mess.  Otherwise dipshits like Micheal Moore will start selling more of the failure that caused this mess as the solution.

Ace Ventura's picture

So....your sagely advice is for everyone to leave? This restores the American Republic how? I would point out that at one time the Roman Empire was also the predominant global military power, as well as (one could argue) owner of the global reserve currency.

All empires fall. So too will the one you describe. Leaving is certainly an option, just as staying and doing whatever it takes to break the tightening grip of an empire in its death spasms. I doubt any of those who choose the latter do so out of love for tyranny.

Marc_W's picture

Things are only getting worse in the U.S. from here on out.  Both economically and in terms of the decline of individual liberty.  You admit that only a collapse of the empire will change this course.  So staying is simply foolish if one has the means to leave.

 

Voting is irrelevant.  Protesting is irrelevant.  Violent resistance will be met with overwhelming force and crushed mercilessly.

 

People are already leaving.  I am leaving.  And if enough of us leave the world will start to look upon the U.S. for what it is - a soon to be failed fascist police state trying to maintain a global military empire.  And then they'll make it harder and more expensive to leave.  I want to get out before the gates come crashing down on Fortress North America.  It's hard enough to travel as is.  I refuse to submit myself to the TSA.  Therefore I must travel to Mexico or Canada first to utilize their airports.  Of course that leaves me vulnerable to the VIPR teams that the TSA has deployed on America's high ways along with the CBP check points.

 

Wake the fuck up and smell the tyranny.  You're swimming in it.

Dugald's picture

 

But, but, but its the Land of the Brave and the Home of the FREE init?

Ace Ventura's picture

Been awake for years friend. Perhaps I'll choose to leave, perhaps I'll choose to stay and resist in whatever way I can. My point is that in choosing to stay, I would not do so out of love for any of the wretched, malignant rot that infests and metastasizes within this nation, but rather because the idea that once existed here, albeit for such a short time....is worth paying the ultimate price for, IMHO.

Besides, just where do you think you will hide from the globe-spanning meltdown that's coming? For obvious common sense reasons I don't expect an actual location, just curious as to whether you believe there is actually such a place.

Marc_W's picture

I do not believe in the Doomsday scenarios of the "Doomer Boomers", as I call them.  But I do believe the U.S. is in decline and demographically headed places I don't want to go.  I will be moving to Europe to evade the effects, if not the reach, of the Anglo New World Order's surveillance systems.  To a country where I am less likely to be jailed or killed by the government.  To a country that at least continues to pretend to respect the privacy and rights of its citizens.  A country with a demographic future that does not include neighborhoods nationwide turning into the barrios of Mexico.

 

So no melt down.  No end of civilization and we know it.  No breakdown of the rule of law.  Not within my life time anyway.  Just more of the same.  And "the same" in the U.S. will be more brutality, more totalitarianism, and less freedom.

Ace Ventura's picture

Well, if things only go as far as you say they will, perhaps Europe is the way to go. I would caution that Europe has it's own problems regarding demographic trends, and that the surveillance state is already well-entrenched there, as is the sentiment (for the most part) that collective interests trump individual liberty. Granted if that's your bag then you're on the right track....otherwise you may wish to reconsider relocating there.

Also remember, the NWO idea was essentially birthed in Europe, and is directed by very old (in the historical timeline sense) european interests.

 

nick howdy's picture

This country used to be united through the "ideas" of freedom and liberty..People need to concentrate their efforts on these things instead of falling for the divide and conquer playbook of the elites... 

Yes we are turning Fascist...and the whole world seems headed for some neo-feudal type of existense...

There is no escape, but you must resist and the whole world will rise up with you..

The elite think there are just to many people on the planet to have actual freedom and freedom is just something for the very few...Themselves..

Hanging a bank$ter a day will cure this problem...Start with the those M.F.'ers.

RoadKill's picture

Wow what a tough talking OWS pussy you are.

I'm sick of this kill a bankster meme on what used to be a pro-capitalism website. And yesterday we had a thread about tungsten in gold hijacked by a bunch of KKKletuses. Seriously, the comment section of this website has become a hangout for the most despicable and disgusting people in America. I hope you do leave, or better yet I hope HLS is tracking all of you and making sure you aren't buying fertilizer.

And KKKletus Come try and hang me. I can afford bigger and better guns then you, or I can pay your brother to kill you, or I'll just tell him you are Fing your sister and hell kill you both.

Widowmaker's picture

Uh oh, someone has their pinstripes in a bunch!

"Mommy, my pussy hurts!"

nick howdy's picture

This website is pro Capitalist. Real Capitalism, where there is nothing TBTF. Bank$ters aren't Capitalists...They are wealth extractors/Crony Capitalists...

Capitalism died when you faggots took your socialist bailout...

You fuckers are the worst kind of welfare queens I've ever seen..

The trouble with Wall Street is that you have no moral convictions and don't really add anything of value to the world...

If we have people like Jon Corzine running around then yea..Kill the Bank$ter.

Especially when our government will not bring them to justice.

Bankers aren't Capitalists unless they are willing to take their own risk...So if your aren't taking your own risk you're just a coward and a thief..

The kill the banker meme is out there because you people SUCK period and no one has to kill you..You'll kill each other..because you are psychopathic animals.. 

prole's picture

You are sir, all over the page with that

nick howdy's picture

Why he doesn't do something a little more productive with his life like steal cars or mug an old lady is beyond me.

Vlad Tepid's picture

Nobody goes to work if they're not being paid.  You'llfind someone has to fly those planes, push those buttons, drive those ships and someone also needs non-crapola cash for the oil they use to boot.  Fiat can only get you so far.  

Asan expat, I love your last paragraph - true, all of it.

disabledvet's picture

India is instituting a tariff on gold dealers as well. In order to institute said tariff one would need an inventory of said gold. in order to confiscate said gold one would need said inventory.

silverdragon's picture

Like the cut of your jib Mr. Joyful.

JOYFUL's picture

How long will this wild unstory take to unwind? So the Central Bank is looking to up it's gold reserves...I've yet to see anything that connects that plan to confiscating personal holdings...all that has come to pass is that banks are to encourage customers to hold gold in less 'traditional' forms.  There's a link to the reporters at the bottom of the original story...someone should call and ask just how that chain of insinuation gets made-at which point it will be identified as 99.9 FOOL'S GOLD!

The real story is, of course, BLACK GOLD...Turkeministan T (or G[az]as the case may be)...and how all the players are scrambling to protect themselves against the meltdown in tel aviv.

Turkey, like India, Japan, and a host of other countries, needs Iranian oil, and the ZOGBIES wield a big stick preventing them from buying it for fiat. But their trump card is that they control all potential pipeline access for any oil&natgas that can come to Eurostan without passing through Putins' system...so when push comes to shove in the next phase, Turkey will get a pass in the bullshit embargo imbroglio, as long as they keep appearances and pay in AU, not $ via SWIFT...sounds convoluted, and it is! Russians won't let the Caspian(Turkish transit) pipeline get completed cause they don't want Iranian product interfering with their shake down of the suckers at the receiving end...but they can't piss off the Turks too much cause they need to twist their arms to not go into Syria. Zato needs the Turks to keep Damascus off keel.  Everybody knows they need to give Ankara some breathing space cause they are already taxing us into the ground on fuel n stuff.

Speaking of which, Wolf,

"But rather than deal with it the hard and honest way[?!?!?!?]—cut spending and increase tax collections—Turkey is grasping for alternatives"

$12 gallon already!....either you smokin some bad shit, or it's just the Teuton in you comin out!

http://youtu.be/A_cVJQGl5n0 (JonesGirls\NightsoverEgypt)

Dingleberry's picture

The Bernank recently told Ron Paul "gold is not money". If so, why do central banks hoard it? Why don't they hoard cotton, or oil, or pig bellies while they're at it?  I am waiting for a cogent answer, from anyone. 

nick howdy's picture

Look you can call anything money, and you also have to consider the portability aspect of the thing you call "money"...

Bottom line is that whatever you call "money" it must have some connection to the real world. Disconnection from the real world gives us the situation we are in now..

There is not an infinite world..so infinite money can't exist either...But that doesn't stop the Central Bankers from CTRL-P'ing or Politicians from spending. 

There is still a Gold Standard and is reflected in the price of gold we see today..

Getting back to nations using this Gold Standard or natural standard, will take a war or three..Oh there are other more enlightened ways of having this happen...But man, in his monkey mindedness, won't be going there..

XitSam's picture

Proposed GWU student or Congressional question for Ben (because he knows so much about the Great Depresson): If gold is not money but is an asset, then why did Roosevelt confiscate it? Why not other non-monetary assets like land, oil, or silver?

Ace Ventura's picture

Excellent question...and I believe the actual answer was something along the lines of:

"Well....we (central banks) buy it because it's TRADITION."

I could be wrong, but it seems I heard either Chopper Ben of Timmah Gee say as much when asked the question of why central banks are accumulating a barbarous relic.

 

nathan1234's picture

The soone the Bernank and Timmy are lined up before a firing squad the better for the world.

Widowmaker's picture

Why waste a bullet?  They will destroy themselves.

Maybe that fuckoff Summers can show them what it's like to be the dumbest fuck in the room standing at the pig trough for some more failure rewarded.

devo's picture

They won't confiscate it in this country. Admits too much guilt/error.

nick howdy's picture

It's been done before...Gold ownership in the US was outlawed until the Nixon Shock of 73. http://en.wikipedia.org/wiki/Executive_Order_6102 and since everyone is looking for a savior, and folks don't want to get arrested they'll give up their gold.

Back in '33 a lot of patriotic people in this country would do this and more  to protect what they saw as the only country that realized that people had "Unalienable Rights"...

So where are we now and what could this country expect from its citizenry, when our government and the elite that controls them have done everything they can to subvert these "Unalienable Rights"...  

Money 4 Nothing's picture

Go check a DHS document that recently came out that has to do with PM's and safety deposit boxes. That will learn ya. 

 

http://democraticwatchdog.blogspot.com/2011/02/dhs-department-of-homeland-stealing.html

oldschool's picture

I certainly don't trust the DHS, but the link is not to a DHS document.  It's to a rant that doesn't let you read the alleged documents.  I don't trust that either.

Money 4 Nothing's picture

That's why I said to go look for it! I didn't have the time at that point of the posters question. I just searched quick and grabbed a link for people to get started.

In the Patriot act part 1 or 2. There are Homeland Security provisions to find *real property electronically if then to be declared a "Contrabanded item" and then declared subject to seizure by DHS.

I can't believe you made me waste 15 mins of my morning that I will never get back doing the work YOU should be doing. It's in this document.

Definition of DHS Homeland Security for seizing real assets with electronic or internet traced possession of assets deemed to be "contraband holdings":

They can use electronic financial data to seize real property in the private sector = power to seize assets or other said stored contrabanded property considered outlawed property which banks would definately fall in line with their classification of just what to be delared electronically found contraband under the guise of committing a electronic financial fraud, (it's a form of sneak and peek) means to their investigation for said seizure. They can start an investigation on anyone they want at anytime for any ginned up reason real or percieved.

I know it sounds like a loose interperatation of property seizure found by DHS electronically or an over reached power on a public or private traced property which falls under the classification of DHS, but it has teeth and further implications of other *real properties, PM's firearms etc. for example, it's what they say the declared contraband would be and subject to seizure if deemed to be or if so declared a "contraband".

If this isn't proof enough of any type of Government seizure of properties, The President signed an EO into law a couple weeks ago to have the power to seize all infrastructure and or corperations both deemed public or private In wartime or peace, so that trumps even this DHS document.

http://www.globalresearch.ca/index.php?context=va&aid=29835

Now, Government confiscation of ANY property is very clear and defined in the EO. These are the same people that passed a Bill to execute Americans legally without due process so what the fuc do you think their doing? If your deemed a National Security threat, like yours truley, you get Breitbarted. America is going into full arbitrage and "they" will not have you standing in their way to do so.

RIP Brett Breitbart.

DHS authority to seize or obtain said electronic documents under a declaration of a DHS contrabanded property found electronically purchased or registered property then found to be a contraband which lead to private property that's being considered as "contraband" in private holding, under the guised attempt of a computer or internet finacial crime clause can seize asset holding-s at that point in a direct relationship of the found paper trail leading DHS authorization to seize real property then considered a "contraband".

  DHS has the right to investigate and seize information or assets in relationship to the declared "contriband" in the case of a said property being deemed "contraband" using an electonic paper trail as proof to find said property and can be seized under the guise of National Security or considerd an outlawed item held or stored in public or private accounts of registered *deposits of said contraband which DHS has found you in stored possession of a material to be seized as contraband.

http://www.apatheticvoter.com/CivilLiberties.htm

Warrentless sneak and peek into your public or private non disclosed items of stored property that can be subject to seizure. Banks are NOT discluded from this type of seizure activity, as a matter of fact, it's designed around them as in stored contraband on said property if discovered by DHS under this provision under an electronic investagation querry. Further fleecing of America IMHO.

It is very carefully worded in this PDF that the power to find said evidence worded in electronic and or internet "crimes" to be used as the vehicle to find said contraband, when it's considered that under an EO or DHS directive to seize any property or falling under the DHS "legal" definition of contraband in the name of "National security" And there is that word again, remember I told you alot of crazy shit is going to happen under that phrase.

http://www.fas.org/irp/crs/RL32357.pdf

If said real property or materials in your safety deposit box of a financial nature (with an electronic paper trail of reciepts or proof of possession or deposit) Said contraband can be seized by DHS under the guise of National Security. It's in their declaration of what's considered contraband using an electronic paper trail (Comex receipts etc.) to find contrabanded property in bank storage, or on deposit (Currency found to be bank transferd for purchase of now contrabanded property) basically, anywhere the trail leads them, they can seize the property.

This DHS power gives them access to private or public property anywhere. I's an electronic documentation of any property that may fall under Outlawed property which they deem contraband. This dosen't stop at a privately held safety deposit box, this can also lead to your home safe (warrentless searches) or electronically documented storage of an alternative method of storage, say, a secure storage facility also.

http://bellaciao.org/en/article.php3?id_article=10012